Ohio Pension Reform Stalemates

April 30, 2004 (PLANSPONSOR.com) - A decision on whether to require state pension funds to "Buy Ohio" has reached an impasse.

Holding up the talks is discussions over whether or not retirement systems should be required to use Ohio-based money managers and brokers.   On one hand, the state House of Representatives has passed a bill requiring pension systems to use Ohio-based money managers and brokers for a set percentage of fund investments, while the state Senate insists the idea should be scrapped, according to a Dayton Daily News report.

Joining the Senate in support of doing away with such a plan are pension directors and Ohio banks.   The two groups came out unified in a statement, agreeing that “Buy Ohio” investment quotas are inappropriate because they conflict with the systems’ ability to manage money in their memberships’ best interests.

“The systems pledged to do what they can do eliminate any real or perceived barriers that prevent Ohio-based banks and firms from doing more business with the plans,” the Daily News report quoting the directors said.